EBRD reports on impact of Ukraine crisis on Central Asia

Central Asia, on average, has seen a relatively modest impact from Russia's war on Ukraine, EBRD experts say in the February report.

Due to elevated prices, 'Kazakhstan and Turkmenistan are enjoying windfall oil and gas revenues. Meanwhile, the Kyrgyz Republic, Tajikistan, and Uzbekistan have seen significant increases in labor, capital, and remittances inflows.'

Economies in Central Asia and the Caucasus benefitted from intermediating trade to Russia and inflows of capital and educated migrants from Russia, the information said.

Output in Central Asia is expected to grow by 4.9% in 2023.

'Strong growth is likely to continue across the region in the short term, but all Central Asian economies face the challenges of inflation and high debt-service costs.'

Credits: Eziz Boyarov, Ashgabat